The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-03-11
THE COTTON OIL TRUST
WITH A CAPITAL OF $50, 600, 900
WILL FIND A RIVAL
In the New Concern with Only ST.
100000 Cap tai and as Their
Oughly Equipped.

NEW YoRk, March 9.-The Time,
says that Mr.. Frederick Oliver, Of
Charlotte, N. O, the general manager
Of the new Soathern % ton SEED OIL
Company, was in the citv yesterday,
accompanied by Judge II. B. Temp
kins, OF Atlanta. the attorney for the
corporation. Mr.. D liver revealed sew
eral interesting fac IS concerning the
new company and the causes of its
formation. "The creation OF our com
pany," he said, sis due to the ge ne al
dies atisfaction which has long pre-
vailed at he manner in wh ch the
American @ atol Seed Oil Trust has
administered affairs. The experience
of myself and others with that cor
poration will serve to Illustrate. We
owned two mil at Chsrl tie, N. o.,
and Columbia, s. O., and at the invita-
ton OF the T, ust turned our G lTporate
stock over to taem and received Trust
certificates ia exchange. We had no
cause OF complaint wi b the arrange
ment until we endeavored to fad
out something concerning the busi.
ness of the corceIn who:e paper
we held. We could learn ahs0lutey
nothing. The business is entirely in
the haBds of the trustees, who m anage
the affairs 10 sHit themselves. They are
at libeIty to vote Intensely 8 any BAL
aries they ccoose, cell themse yes seed
If they wish, aud absorb a the profits
Of the enterprl ii they 80 incline. La
addition, we dec JveIed that tn re- was
an immense issus of trust certifi1 ties,
representing now, l believe, about
$50, 000,001. When you copsid r tnst
we are going to equal the produ ing
power of all rhe trust mills by an cut
lay of only So SOL, 0J0, you will under
stand why we di, posed If our ceruf
Gates and why good many 9th r null
owners in tae same position have done
the same thing. We hal no complaint
TO make of any lack OF integri y in any
direction, but we were legally advised
that all holders OF Trust certificates
were actually psrtners In the business,
and it was a condition of affaiIs
which, as business men, we did
not like. The new com pany
which We organic d in Philadelphia
last Saturday simply proposes to
take advaL tage of good business op-
portunlty. All OF the 1l5 miles which
are now included in the 7 ust sre,
with a few exceptions, old mills
Rapid advances has been made in the
last few We, rs in the art of mill con.
Btruction. The mills for which we have
today contracted will produce ssventy.
Ave more gallons Of oil and thirty
pounds more Of colt IN to the ton, aud
THY will diminish the cost OF working
by 81. This makes "a per ton gain,
and considering that mill handles
from l25 to $50 tons per day the diff.
ference is something very important
1--WE propose to build from twenty
to twenty-five mills at Norf)lk, Will
nington, Charleston, Columbus, "a.
vannah, Macon, Augusta, Mobile,
Montgomery, Demopolis, Ala Shet-
field, Ala; Jackson, Miss; Meridian,
Miss; New Dreams, Shreveport, Mem
phis, Houston, Galveston, Dallas, San
Antonio and Little Rosk, and re-
hneries at Kansas City, Chi
ago, Philadelphis, Camden, Jer-
eey City and Hoboken. This,
IS l said, will require at outlay
of 81, 500 600 and three years time
We have today contracted for the first
eight mills with the Carver Cotton
Gin Company, Of Bridgewater, Mass
The machinery is to be delivered at
the woi ks by August 1st, and we ex-
pect to have the q st mills ready by
next October at Charleston, Atlanta,
Memphis, Little Rock, Dallas, Hous.
ton, or Galveston 1--WE have not yet de-
cided whicb), Montgomery. Ala, and
New Orleans. Our capital is 5000
600, 81, 000,t 90 of which will Iema n
in the company's treasury. The sub.
scribers of the "a 100000 have sgreed
to surrender from time to time such
pro rata parts as the pr sctors Of the
enterprise may desire to place in the
hands OF planters. Henry @. Butcher,
of Washington, and Bntcher's Sons,
Philadelphis, is president; John o l.
yer, OF o liver BrCs., Columbia, S. O.,
secretary and treasurer; Daniel A.
Tompkins, of Charlotte, eng neer, and
Judge Tonp ms and Bel min F.
Wilson, oil P iEdelphia, ara our coun-
sci. We shall have crushing ca aci-
ty fully equal to that Of the Trust
mills, with the outlay mentioned, and
all the advar tages in cur favor We
shall Issue no stick until it is paid up
in full. As far as the old company's
getting new appliances ia concrruet, l
may say that we propose to keep the
Carver Company busy for three year,,
ard our orders will have the prefer
ence. The Carver Inter ia the only
one in general use, and they will make
none for outside customers until they
are through with u.s." "How about
Mr.. Amour" "Mr. Armour is not
identified with the Trust, any repoi is
to the contrary Notwithstanding. This
telegram" and Mr.. o liver exhibited a
Chicago dispatch verifying his words,
sis the best evidence of that. Yuu
see, Armour bad to have $4,000 or 3d.
600 barrels OF oil for this summer. II
he had manifested any intention to
form part OF an oppos ton company
the Trust would have had the power
and would probably have developed
the irclination to sque re him. Now
he has his contracts all made and is
independent. Hereafter be will buy
his oil where he can get it cheapest, il
not being likely that competition will
raise the price any.